FHLBNY awards $27.1M for affordable housing projects

The Federal Home Loan Bank of New York announced Thursday it has awarded $27.1 million in subsidies to fund 35 affordable housing initiatives throughout New Jersey, New York, Connecticut, Maryland and Pennsylvania.

FHLBNY CEO José González, a former Puerto Rico banking executive, said these awards are funded through the bank’s Affordable Housing Program and will result in the creation or rehabilitation of 2,576 affordable housing units, including more than 1,900 units dedicated to very low-income housing and more than 2,300 units of affordable rental housing.

The awards will not only help provide housing, but also drive community development: it is anticipated that more than $425 million will be leveraged in housing investment from the development of these initiatives, he said.

“The Affordable Housing Program – which marks its 25th anniversary this year – is part of the fabric of our cooperative,” said González. “The Affordable Housing Program is a reflection of our mission and our purpose, and since its creation, it has provided us with another way in which we join with our members to serve and support our local communities.”

The $27.1 million announced are funds drawn from the bank’s earnings. The Affordable Housing Program, created by Congress in 1989, has supported 1,450 projects with more than $515 million in grants, helping to create or preserve more than 65,000 units of affordable housing and generating an estimated $8.8 billion in total development costs.